Many companies within the automotive industry have provided pension lump sum payment programs that impact certain current salaried retirees or former employees. General Motors, Ford Motor Company, Stellantis, and Visteon, to name a few have offered these programs. 

By taking advantage of the lump sum pension payment option, retirees and former employees may reduce many potential pension risks including longevity risk due to inflation, tax risk, and mortality risk. Most importantly for current employees, at retirement it will completely eliminate "PBGC risk" – the risk that monthly pension payments are someday reduced by the Pension Benefit Guaranty Corporation, as Delphi retirees suffered.

MCM’s Pension Payment AnalyzerTM can help you answer these questions:

  • Which pension benefit payment option is best for my personal situation?
  • What is the present lump sum value of my pension?
  • What are my monthly cash flow needs in retirement?
  • How are monthly pension payments impacted by inflation?
  • What are the tax implications of a lump sum versus monthly pension payments?
  • Do I want the ability to take distributions from my pension benefit at my discretion?
  • How does the life expectancy of my spouse and I impact this decision?
  • How can each pension payment option impact my estate planning and financial legacy?
  • How would my overall retirement income plan change with a lump sum pension payment?
  • How can a lump sum pension payment improve flexibility in my income and tax planning?
  • What is the best way to optimize my overall retirement savings and pension benefit?
  • What changes should I consider in my Ford SSIP, IRA, and Social Security distributions?
  • How would a PBGC takeover of Ford’s pension plan impact my pension benefit?
  • How much would my monthly pension payment be reduced in a PBGC takeover?

Mainstay has counseled thousands of auto workers on retirement saving, planning, and investing. We can provide a comprehensive Retirement Income Analysis, help you evaluate "what-if" scenarios, and assist you in making well-informed decisions concerning your pension payment options.

Call Mainstay Capital Management toll-free at 866-444-6246 to discuss your personal situation.

Important Consumer Disclosures

Mainstay Capital Management, LLC is an investment advisor registered with the Securities and Exchange Commission. Due to various state regulations and filing requirements, Mainstay and its representatives may only provide investment advisory services in those states in which it is first appropriately registered or otherwise exempt or excluded from registration requirements. The purpose of this website is to provide the public with general information about the services offered by our investment management firm. Mainstay does not render personalized investment advice or services or effect, or attempt to effect any securities transactions, on this website. Our firm continuously monitors its filing requirements in all states, and will provide individualized advisory services only in accordance with various state regulations. Mainstay does not make any representations or warranties as to the accuracy, completeness, or relevance of any information prepared by any unaffiliated third party provider, whether linked to Mainstay's website or incorporated herein. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

 

Disclosure Information - Rankings and Awards

Barron's Magazine - Top 100 Independent Financial Advisors

According to Barron’s: The rankings are based on data provided by individual advisors and their firms. Advisor data is confirmed via regulatory databases, cross‐checks with securities firms and conversations with individual advisors. The formula Barron’s uses to rank advisors is proprietary. It has three major components: assets managed, revenue produced and quality of practice. Investment returns are not a component of the rankings because an advisor’s returns are dictated largely by the risk tolerance of clients. The quality of practice component includes an evaluation of each advisor’s regulatory record. The data is based on one fiscal year (7/1/22 - 6/30/23) and appeared in Barron’s on 9/18/23.


Schwab IMPACT Awards®

The Charles Schwab & Co., Inc.’s IMPACT Awards® program recognizes excellence in the business of independent financial advice. Nominees are evaluated and selected by a panel of prominent leaders from both the business world and the financial services industry. Mainstay Capital Management does use Charles Schwab to custody certain client assets, however there was no direct compensation provided to be nominated for this award. Mainstay Capital Management received this annual award on November 15, 2017.